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The Big Story: Pushing past preapprovals

Brokers are sitting on a mountain of preapprovals, but is there is a way to push past them and get clients off the fence? Jemima Codrington reports.

Video transcript below:

Jemima Codrington, Mortgage Broker News
Jemima Codrington: You’ve been pre-approved for a mortgage, you are looking to buy a house, so the next logical step is waiting? Hi, I’m Jemima Codrington and welcome to the Big Story on Mortgage Broker News.

A number of consumers appear to be pumping the brakes, waiting for a correction that may or may not happen. It seems to skip the buyer’s remorse, may [lead to] skipping the buying altogether.

Bill Mitchell, The Mortgage Centre

Bill Mitchell: I think it’s just simply because there is so much economic uncertainty and specifically for a client, job uncertainty. Someone who was ready to go a month ago, you know starting to talk to their manager about when they are going to need a letter to verify their employment. I have seen a number of times where the manager is starting to waffle on that. So that and there is a lot of talk in the media about rates going up and real estate values coming down, so I think that’s just causing a lot of uncertainty in the mind of the consumer.

Jemima Codrington: But brokers rejoice, there are some ways to help buyers with cold feet gain confidence even in today’s market.

Sandy Cockburn, Durham Mortgage

Sandy Cockburn: I think clients right now are all seeing the doom and gloom on the media. At this point, if they have got confidence in what they are doing, if everything has been explained to them, they qualify for that product, it’s a great time to purchase. If we can help them establish what they qualify for, how much it’s going to cost per month, I think that they will be confident enough to go out and buy a home.